AMD Execs Say Open-Source Strategy Gives Them Edge Over Nvidia

AMD executives claim that their company has a key advantage over Nvidia in the AI chip market due to its more open approach. The company's ROCm software, used for programming AI chips, is available as an open-source platform, allowing developers to use, download, and modify it freely.

This strategy gives AMD a leg up on companies like Nvidia and Qualcomm, according to two executives who spoke with Business Insider in July. They say that making some of their major software and hardware products open-source allows them to tap into the skills and contributions of thousands of engineers, helping to develop their software faster in the AI race.

AMD's latest chips are considered best for AI agents because developers can improve the software through open-source contributions, said Salil Raje, senior vice president of AMD's adaptive and embedded computing group. He called open source 'a central pillar in our strategy.'

The company's stock has seen significant growth over the past year, with a 193% increase compared to Nvidia's 20%. Revenue came in at $11.5 billion, beating analysts' expectations, but capital expenditures nearly tripled to $808 million.